Suncorp pivots to pure-play P&C insurance after divestments

Its FY 2024 P&C segment bagged $800m in net earnings.

Suncorp Group will move its attention toward operating as a pure-play property and casualty (P&C) insurer following the divestment of its bank and New Zealand-based life insurer.

The sale of Suncorp Bank was finalised in July 2024, and the divestment of Asteron Life is expected to close by the end of January 2025.

Suncorp’s core P&C insurance operations will now be the main focus, enabling the company to sustain strong earnings independent of banking and life insurance contributions. 

For fiscal 2024, the P&C insurance segment was pivotal in driving a net income of $800m (A$1.2b), thanks to robust premium growth and favourable natural catastrophe experiences, alongside solid investment income.

The sale of Asteron Life, the last of Suncorp’s non-core businesses, will allow the company to enhance its focus on its P&C business, S&P Global Ratings said.

Suncorp plans to invest significantly in a multiyear system upgrade and explore other initiatives to boost business performance and operational efficiency. The Asteron Life sale is pending regulatory and other approvals.

Suncorp’s strong market position and capital adequacy will continue to support the ratings of its core operating subsidiaries. 

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